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Rural customers - Powerhouse of Indian retail market
Aug '11
It is commonly believed that rural life is less exciting than its urban counterpart. But, currently rural segment is emerging as a potential market for many big retailers.

Indian rural market is growing at 3-4% per annum, adding more than 1 million new rural consumers every year. Increasing income level, and awareness created by electronic media have altered the rural customer, making him to seek better quality life.

They are now aware of various brands, and prefer shopping according to their own brand preferences. Products which were earlier considered as 'status symbols' are now being considered as 'must haves'. The per capita monthly consumer expense of a rural consumer amounts to USD 12.34, of which clothing comprises USD 1.

By 2020, urban population in India is predicted by analysts to grow from the current 30.4% to 33.7%. This means that in 2020, 66.3% of the total Indian population will live in rural areas. By the next decade, villages in India will receive lot of development grants, thereby enriching the lives of the rural people.

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Fibre2fashion News Desk - India

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